“Rip and Tear” Damage Remains Covered Under CGL Policy as “Accident”—for Now.
September 01, 2016 —
Michael Lindsay & Luke Mecklenburg – Snell & Wilmer Real Estate Litigation BlogThe Colorado Supreme Court has approved a settlement between the parties to an appeal of the 2012 Colorado Pool Systems v. Scottsdale Insurance Company Court of Appeals case, leaving that ruling intact. The ruling parses a fine line between uncovered costs of repairing defective work and covered costs of damage caused to nondefective work while repairing defective work. This nuanced opinion, which is now established Colorado law, is worth a second look.
In Colorado Pool Systems, Inc. v. Scottsdale Insurance Company, the Colorado Court of Appeals determined that so-called “rip and tear” damage caused by a construction professional to nondefective work while correcting defective work is covered as an “accident” under standard Commercial General Liability insurance language. 317 P.3d 1262 (Colo. App. 2012). A pool company excavated and built a rebar frame in order to construct a pool, but it hired a subcontractor to pour the concrete. An inspector later noticed that some of the rebar was too close to the surface, and the pool company agreed to demolish and replace the pool after an agent of its insurer represented that this loss would be covered. But the agent was wrong, the insurer denied coverage, and litigation ensued.
Reprinted courtesy of
Michael Lindsay, Snell & Wilmer and
Luke Mecklenburg, Snell & Wilmer
Mr. Lindsay may be contacted at mlindsay@swlaw.com
Mr. Mecklenburg may be contacted at lmecklenburg@swlaw.com
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Sixth Circuit Lifts Stay on OSHA’s COVID-19 Temporary Emergency Standards. Supreme Court to Review
January 10, 2022 —
Garret Murai - California Construction Law BlogAs we round out the year, here’s a bit of news, with more likely to come, regarding the U.S. Department of Occupational Safety and Health Administration’s (OSHA) COVID-19 Temporary Emergency Standards (ETS).
As we
wrote earlier, on November 4, 2021, OSHA issued its ETS which applies to private employers with 100 or more employees (Covered Employers). Among other things, the ETS requires Covered Employers to have a COVID-19 vaccination policy requiring all employees to be fully vaccinated with certain exceptions, to provide for weekly testing of non-fully vaccinated employees, and to require face coverings. Under the ETS, Covered Employers were required to comply with the ETS other than the testing requirements by December 6, 2021 and to comply with the testing requirements beginning January 4, 2022.
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Garret Murai, Nomos LLPMr. Murai may be contacted at
gmurai@nomosllp.com
Cincinnati Goes Green
May 10, 2013 —
CDJ STAFFColumbus Dispatch reports that under a program in Cincinnati, homeowners can receive tax breaks that eliminate their property taxes for up to fifteen years. As a result, while about 100 single-family homes in Cincinnati are LEED-certified, Columbus can claim only one. The rest of the state also lags behind, with only eighteen percent of LEED-certified homes outside Cincinnati.
Jim Weiker reports that energy efficiency is at the top of homebuyers’ wants, even beating out granite countertops. But although green certification seems to support a four percent increase in price, builders aren’t rushing to follow LEED standards.
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Insurer Must Defend and Indemnify Construction Defect Claims Under Iowa Law
February 23, 2017 —
Tred R. Eyerly – Insurance Law HawaiiApplying Iowa law, the federal district court found that the insurer had to defend and indemnify construction defect claims for damage to property caused by the insured's subcontractors. Van Der Weide v. Cincinnati Ins., 2017 U.S. Dist. LEXIS 4469 (N.D. Iowa Jan. 12, 2017).
Van Der Weide contracted with Bouma & Company, Inc. to construct a house in 1996. Before construction began, Bouma purchased a CGL policy and a separate umbrella policy from Cincinnati, which were in effect from January 30, 1996 to January 30, 1999.
Bouma used various subcontractors to build the home, including Elkato Masonry, which did the brick veneer and masonry work. The house was completed in February 1998 and Van Der Weide moved in during August 1998.
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Tred R. Eyerly, Insurance Law HawaiiMr. Eyerly may be contacted at
te@hawaiilawyer.com
Newmeyer Dillion Attorneys Named to 2020 Southern California Rising Stars List
June 22, 2020 —
Newmeyer DillionProminent business and real estate law firm Newmeyer Dillion is pleased to announce that partner Eric Rollins and associates Jason Moberly Caruso and Richard Protzmann have been selected to the 2020 Southern California Rising Stars list by Super Lawyers. Each year, no more than 2.5 percent of the lawyers in the state are selected to receive this honor. The attorneys will be recognized in the June 2020 issues of Super Lawyers Magazine, Los Angeles Magazine and Orange Coast Magazine.
Eric Rollins, a partner in the Newport Beach office, provides legal counsel in a diverse array of practice areas with a focus on business, real estate, construction, insurance, and entertainment law. In his more than ten years at the firm, Eric has litigated and resolved hundreds of matters in both state and federal court through negotiation, mediation, arbitration, and trial. This is his third year as a Rising Star honoree.
Jason Moberly Caruso is an associate in the Newport Beach office. Jason's practice focuses on various aspects of "contaminated sites" environmental legal work, complex litigation, and appellate matters. This is the fifth consecutive year Jason has been honored.
Richard Protzmann is an associate in the Newport Beach office. Richard's practice focuses on focuses his practice on areas of business litigation, eminent domain, environmental law, zoning and land use, and general real estate litigation. This is the first year Richard has been selected.
Super Lawyers is a rating service of outstanding lawyers from more than 70 practice areas who have attained a high degree of peer recognition and professional achievement. The patented selection process evaluates candidates on 12 indicators of peer recognition and professional achievement, resulting in a comprehensive, credible and diverse listing of exceptional attorneys. The Rising Stars list is developed using the same selection process except candidates must be either 40 years old or younger, or have been in practice for 10 years or less.
About Newmeyer Dillion
For 35 years, Newmeyer Dillion has delivered creative and outstanding legal solutions and trial results that achieve client objectives in diverse industries. With over 70 attorneys working as a cohesive team to represent clients in all aspects of business, employment, real estate, environmental/land use, privacy & data security and insurance law, Newmeyer Dillion delivers holistic and integrated legal services tailored to propel each client's operations, growth, and profits. Headquartered in Newport Beach, California, with offices in Walnut Creek, California and Las Vegas, Nevada, Newmeyer Dillion attorneys are recognized by The Best Lawyers in America©, and Super Lawyers as top tier and some of the best lawyers in California and Nevada, and have been given Martindale-Hubbell Peer Review's AV Preeminent® highest rating. For additional information, call 949.854.7000 or visit www.newmeyerdillion.com.
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New Research Shows Engineering Firms' Impact on Economy, Continued Optimism on Business Climate
October 28, 2024 —
The ACEC Research InstituteWASHINGTON – The ACEC Research Institute – the leading source of original research for the business of engineering – released the results of two important studies on the current and future state of the engineering industry, and its role in the overall U.S. economy.
The reports, the
2024 Economic Assessment of the Engineering & Design Services Industry and the
Engineering Business Sentiment Report for 2024 Q4, both point to continued optimism for the industry and its firms, though somewhat softened compared to previous quarters.
"This research shows the outsized impact the engineering industry has on the American economy," said ACEC Research Institute Chair Mike Carragher. "As the engineering industry's contributions grow year over year, the Institute's research helps firm executives position their businesses for a successful future."
All told, the industry added $656 billion to the U.S. GDP in 2023, supported well over five million jobs directly or indirectly, and contributed $92 billion to federal tax coffers, with an additional $44 billion in state and local taxes.
Overall, the report found that the engineering and design services industry has continued to build on its year-over-year post-COVID gains, growing 5.5% in 2023 to $436 billion, with much of that growth driven by infrastructure projects. Non-residential and non-building construction, flush with government funding through the IIJA and Inflation Reduction Act, remained on an upward trajectory.
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Construction Litigation Roundup: “Stuck on You”
March 04, 2024 —
Daniel Lund III - LexologyA “contract of adhesion” is referred to as a standard form contract – usually preprinted – “prepared by a party of superior bargaining power for adherence or rejection of the weaker party.” Yet, it is not the nature of the contract alone which determines its enforceability, but, instead, “whether a party truly consented to all of the printed terms.”
A Louisiana plaintiff fighting a forum selection clause in a construction contract sought to have the clause nullified, urging that the clause was “buried” in the agreement and in small font, arguing also that the contractor had “superior bargaining position at the time of entering into the contract… because [plaintiff] needed to repair the hurricane damage” to his home as soon as possible.
In response, the contractor urged that the contract was not executed under rush conditions, and that, in any event, the contract was only two pages long – and the forum selection clause was not hidden and was in the same font as all of the other provisions in the contract.
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Daniel Lund III, PhelpsMr. Lund may be contacted at
daniel.lund@phelps.com
Progress, Property, and Privacy: Discussing Human-Led Infrastructure with Jeff Schumacher
August 30, 2021 —
Aarni Heiskanen - AEC BusinessWe sat down with Jeff Schumacher, Microsoft’s Global Workplace Services Regional Lead Ireland, UK, and MEA, in the run-up to his keynote speech at WDBE 2021. Our conversation covered how technical innovation has changed the sector, the dangers of assumption, and why retaining a human-centred perspective is vital in a data-driven business.
As we leave lockdown, the conversation shifts from measuring the impact on society to the positive change that our urban spaces and built environment can provide. But when it comes to contemporary professional working spaces and the habits of the people working within them, it can be difficult to find a solution that works.
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Aarni Heiskanen, AEC BusinessMr. Heiskanen may be contacted at
aec-business@aepartners.fi